Have Insiders Sold UnitedHealth Group Shares Recently?

Some UnitedHealth Group Incorporated (NYSE:UNH) shareholders may be a little concerned to see that the Senior VP & Chief Accounting Officer, Thomas Roos, recently sold a substantial US$1.6m worth of stock at a price of US$570 per share. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 8.9%.

See our latest analysis for UnitedHealth Group

The Last 12 Months Of Insider Transactions At UnitedHealth Group

Over the last year, we can see that the biggest insider sale was by the Chief Executive Officer of UnitedHealthcare, Brian Thompson, for US$12m worth of shares, at about US$521 per share. That means that even when the share price was below the current price of US$565, an insider wanted to cash in some shares. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was just 48% of Brian Thompson's stake.

Insiders in UnitedHealth Group didn't buy any shares in the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

I will like UnitedHealth Group better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Insider Ownership Of UnitedHealth Group

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. UnitedHealth Group insiders own 0.2% of the company, currently worth about US$908m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The UnitedHealth Group Insider Transactions Indicate?

Insiders haven't bought UnitedHealth Group stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. To that end, you should learn about the 5 warning signs we've spotted with UnitedHealth Group (including 1 which shouldn't be ignored).

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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